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American Coastal Insurance (ACIC) Surpasses Q3 Earnings Estimates
ACICUnited Insurance(ACIC) ZACKS·2024-11-07 00:00

Core Viewpoint - American Coastal Insurance (ACIC) reported quarterly earnings of 0.54pershare,exceedingtheZacksConsensusEstimateof0.54 per share, exceeding the Zacks Consensus Estimate of 0.35 per share, and showing an increase from 0.34pershareayearago[1][2]FinancialPerformance−Theearningssurpriseforthequarterwas54.290.34 per share a year ago [1][2] Financial Performance - The earnings surprise for the quarter was 54.29%, with the company previously expected to post earnings of 0.30 per share but actually delivering 0.40pershare,resultinginasurpriseof33.330.40 per share, resulting in a surprise of 33.33% [2] - Revenues for the quarter ended September 2024 were 82.14 million, which missed the Zacks Consensus Estimate by 2.81%, compared to 58.71millioninthesamequarterlastyear[3]−Overthelastfourquarters,thecompanyhassurpassedconsensusEPSestimatesfourtimesbuthasonlytoppedconsensusrevenueestimatesonce[3]StockPerformance−AmericanCoastalshareshaveincreasedapproximately35.658.71 million in the same quarter last year [3] - Over the last four quarters, the company has surpassed consensus EPS estimates four times but has only topped consensus revenue estimates once [3] Stock Performance - American Coastal shares have increased approximately 35.6% since the beginning of the year, outperforming the S&P 500's gain of 21.2% [4] - The sustainability of the stock's price movement will depend on management's commentary during the earnings call [4] Future Outlook - The current consensus EPS estimate for the upcoming quarter is 0.15 on revenues of 79.51million,andforthecurrentfiscalyear,itis79.51 million, and for the current fiscal year, it is 1.40 on revenues of 305.88million[8]−TheestimaterevisionstrendforAmericanCoastaliscurrentlyunfavorable,resultinginaZacksRank4(Sell)forthestock,indicatingexpectedunderperformanceinthenearfuture[7]IndustryContext−TheInsurance−PropertyandCasualtyindustryiscurrentlyrankedinthetop20305.88 million [8] - The estimate revisions trend for American Coastal is currently unfavorable, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [7] Industry Context - The Insurance - Property and Casualty industry is currently ranked in the top 20% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [9] - Another company in the same industry, HCI Group, is expected to report quarterly earnings of 0.39 per share, reflecting a year-over-year decline of 72.3% [10]